The primary difference between a line of credit and a revolving credit arrangement is the:
A) type of collateral used to secure the loan.
B) length of the credit period.
C) fact that the line of credit is a secured loan and the revolving credit arrangement is unsecured.
D) fact that the line of credit is an unsecured loan and the revolving credit arrangement is secured.
E) loan's classification as either a committed or a non-committed loan.

Question

Quizplus · Accepted Answer

The Answer of The primary difference between a line of credit and a revolving credit arrangement is the:
A) type of collateral used to secure the loan.
B) length of the credit period.
C) fact that the line of credit is a secured loan and the revolving credit arrangement is unsecured.
D) fact that the line of credit is an unsecured loan and the revolving credit arrangement is secured.
E) loan's classification as either a committed or a non-committed loan.

The Primary Difference Between a Line of Credit and a Revolving